Motor Insurance Claims Procedure

Consumers often complain about processing delays in their insurance claims. More often than not, the stumbling blocks in the claim process are insufficient information given on the claim form, lack of supporting documentation or the lack of understanding on what the policies actually cover.
The most common general insurance policies purchased by consumers are motor policies. By knowing what to do would help alleviate some of the anxiety that comes with the incident as well as ensure a speedy claims process.

Checklist what to do after an accident
If you are involved in a road accident, at least you should do the following:
· Avoid argument, controversy or dispute;
· Find out anybody injured and ask for help to send the injured to the nearest hospital;
· Record registration numbers of all vehicles involved including model, make and colour;
· Record name of insurance company, policy/certificate of insurance/cover note number of the other vehicles;
· If possible, take down names, addresses, I/C no. and telephone no. of the other insureds;
· Record names and addresses of any witnesses;
· Note the extent of damage to your vehicle and any bodily injuries;
· Note the surrounding area, if possible sketch plan of the place of accident including name of the road, road sign, any road junction, landmark, time and date of accident. These information are required when you make a police report;
· Do not admit liability;
· Lodge a police report within 24 hours; and
· Notify your insurer and the third party insurer (if you are making a third party claim) immediately.

Procedure when making own damage claim under comprehensive policy:
· Send your vehicle for repair to PIAM/insurer’s panel of workshop;
· Provide copies of the following documents:
i) Insurance policy/cover note;
ii) Driving license of insured and/or authorised driver of vehicle at the time of accident (if not driven by you);
iii) Insured’s and/or authorised driver’s identity card (if not driven by you);
iv) Vehicle registration card;
v) Road tax disc;
vi) Original police report;
vii) Hire purchase agreement (if under hire purchase);
viii) Motor claim form; and
ix) Repairer’s estimate of damages.

Making third-party claim
If you are making a claim against a third party, you would need to notify the other driver in writing of your intention to claim from him and ask him to notify his insurer. You should also insist on him to make his own police report, otherwise you will face problem in making claim against his insurer. The other driver should notify his own insurer of the accident as his insurer will only be able to deal with your claim if they have been asked to do so by their policyholder. Otherwise, his insurer will not entertain your claim until the third-party notify them.
Checklist for making third party claim:
In addition to the above procedure on making own damage claim, the additional procedure for making third-party claim are as follows:
· Notify your insurer of your intention to claim third-party insurer;
· Notify third-party insurer informing your intention to claim and giving policy number of their insured;
· Additional documents to be submitted:
i) Police report of the third-party;
ii) Result of the police investigation of the accident;
iii) Sketch plan and keys as provided by the police;
iv) Insurance adjuster’s report; and
v) Receipts.

These are the minimum documents required to be submitted otherwise it would contribute to the delay in processing of claim for lack of supporting documents as mentioned in the first paragraph.
Under the recent PIAM Circular, you can also make third-party claim through your insurer. However, your insurer only pays the cost of repair to your vehicle. As for consequential loss, like loss of use and excess, you have to make third-party claim against third-party insurer. As for NCD (Non Claim Discount), you should not suffer any loss when making third-party claim through your insurer as the accident was due to third-party fault. The result of the police investigation will prove this.

Checklist when making windscreen claim
Provide the following documents when making windscreen claim against your insurer:
· Claim form;
· Original police report;
· Copy of your I/C and driving license
· Photographs of damaged windscreen before repair;
· Original cash repair bill/invoice; and
· Copy of vehicle registration card.

When making your police report, provide the police with whatever information they require and obtain a copy of the report. Contact and inform your insurance agent or insurance company regarding the accident and seek advice on what additional forms or documents are required to support the claim.

How soon should you call your insurer?
Insurance companies expect you to do this as soon as possible. Any unreasonable delays may prejudice your case. The best advice would be that when in doubt, it is better to notify your insurer sooner rather than later.
If someone else is claiming against you for damage to their property or for personal injury, it is very important to contact your insurance company immediately. You will be told what to do and it is very important to follow the instructions given. You should also be prepared to be charged by the police as the accident is due to your fault. Normally, you will be compounded if the accident is minor and does not involve injury or death to third party.

What about repairs?
In a motor accident where your car is considerably damaged, the first step is to ascertain whether your policy covers damage to your vehicle. If yes, take your car to a PIAM-authorised repairer and inform your insurer immediately that you have done so. If your insurer recommends or requires that repairs be done at a specified workshop, then take your car there as advised. Any estimates should be sent to your insurer for checking purposes.
Alternatively, the insurer will send an insurance loss adjuster to assess the damage to your vehicle, after which the insurer will authorise repairs. The insurer will authorise repairs subject to a satisfactory claim form being submitted together with the relevant documents.
If you have an 'excess' on your policy, you must pay the amount of the "excess" direct to the repairer. The "excess" is that part of the claim that you have agreed will be borne by you. Check your insurance policy for this "excess" amount. The excess is payable irrespective of who is to blame.

Checklist of items to remember about motor insurance:
· Read your policy, and pay particular attention to advice on claims and conditions that apply.
· It is your responsibility to keep your vehicle in good order. An insurance policy does not cover the costs of maintaining your vehicle.
· You have to take reasonable steps to prevent a loss occurring - and, if it happens, to do what you can to prevent further damage.
· It is up to you to understand the extent of your coverage. Your insurance company will be able to assist you on this matter.
· Get in touch with your insurance company promptly and take their advice on what you should do.
· Your insurance company will deal as quickly as possible with your claim but this will also depend on getting estimates and other information they need to assess the claim, which can take time.